NOBLE shows an outperforming 9M/2023 results,
recording a 54% increase of total revenue and a 517% surge of net profit,
2 new projects worth over THB 3,100 million planned to launch by year-end
Bangkok – Noble Development Public Company Limited (NOBLE) shows an impressive performance in the first 9 months of 2023 with total revenue of THB 7,274 million, rising 54% YoY, and net profit of THB 719 million, rising 517% YoY. Embracing the property market recovery supports the sale momentum of ready to move projects and extra gains from the sales of investment in 2 joint venture companies to PROUD. Total Pre-sales in the first 10 months of 2023 were recorded over THB 12,288 million and 2 new projects worth more than THB 3,100 million are planned to launch by year-end. The company’s financial status remains strong with good liquidity.
Mr. Thongchai Busrapan, First Vice Chairman and Co-CEO of Noble Development Plc (NOBLE), a leading residential project developer in prime areas of Greater Bangkok, revealed about the first 9 months of 2023 performance that the company recorded total revenue of THB 7,274 million, rising 54% YoY, fueled by a recovering property market together with the company being able to gradually sell ready to move projects on hand, along with the sale momentum to foreign customers continuously. At the same time, the company has continuously delivered the transfer of backlog in line with its plan. For the first 9 months of 2023, it handed over a new project transfer of 3 projects, comprising 1 condominium project, name Nue Z-Square Suan Luang Station, and 2 housing projects, namely Nue Hype Suksawat and Noble Away Cha-Am, boosting the revenue growth.
Furthermore, net profit of 9M/2023 stood at THB 719 million, rising a 517% YoY. The exponential growth came mainly from rising net profit from operation, which grew in tandem with the growth of total revenue and gain from sale of investment in 2 joint venture companies, Rama 9 Alliance Co.,Ltd, the developer of Nue District R9, and Khu Khot Station Alliance Co.,Ltd, the developer of Nue Cross Khu Khot Station, to Proud Real Estate Plc (PROUD), including management fee as the operation such as management fee, incentive fee, and success fee.
For the 3Q/2023 performance, the company generated total revenue of THB 2,796 million, a 27% increase YoY, and net profit of THB 535 million, escalating 289% YoY. Contributing to the growth came mainly from higher total revenue and extra gain from the sale of investment in 2 joint venture companies.
The company’s presales in the first 10 months of 2023 (January-October) reached at THB 12,288 million (excluding sales from Nue District R9 and Nue Cross Khu Khot Station) which received the positive feedback of ready to move projects from customers due to project design and prime location which can attract customers continuously. As a result, the company’s backlog on hand stands over THB 19,492 million which will be gradually realized within the next 3-4 years. In addition, total inventory and projects under construction worth over THB 35,253 million.
For the 10 months of 2023, the company has already launched 6 new projects worth combined THB 17,100 million, namely 1) Nue Core Khu Khot Station, 2) Nue Hype Suksawat, 3) Noble Away Cha-Am, 4) Noble Terra Rama 9- Ekamai, 5) Noble Aqua Riverfront Ratburana. And 6) The Embassy Wireless. Additionally, 2 new projects worth over THB 3,100 million are planned to launch near the year-end, bringing the total launches to 8 projects worth combined THB 20,200 million for 2023.
Mr. Thongchai noted that the overall property market in 4Q/2023 will continue to show a positive momentum. The company emphasizes on the sales of ready to move projects on hand such as Noble State Sukhumvit 39 and Noble Around Ari. The ready to move condominium projects in the inner-city location with the price range of THB 5-6 million per unit, still attract sales from foreign customers who purchase for real demand. For affordable prices such as brand “NUE” in a location near mass-transit routes including Yellow Line in Srinakarin area, there is a gradual sale of inventory projects along with the opening of skytrain services.
For the high-end housing projects, the company introduced 2 new projects, namely Noble Terra Rama 9-Ekamai and Noble Aqua Riverfront Ratburana, both of which enjoyed continuously sales due to the good location and unique selling points to attract customers. However, sales from the projects with affordable prices felt an impact of weak economic situation and tightened credit control policy.
Meanwhile, NOBLE’s financial positioning remains strong with good liquidity. At the end of 3Q/2023, the company had cash flow and on hand including restricted cash for debenture
repayment totaling THB 1,591 million and net interest-bearing debt to equity ratio (net IBD/E ratio) stood at 2.16 times and adjusted net interest-bearing debt to equity ratio (adjusted net IBD/E ratio if including the restricted cash for debenture repayment) stood 2.05 times, reflecting the company’s ability to access credit from financial institutions if necessary and for investments. Due to the prevailing volatility in the financial market, it is necessary for the company to be responsive and maintain strong liquidity.
